GameTech expects Oklahoma decision to cut its revenues

As Gametech International Inc.

of Reno last week reported a tiny profit for the quarter ended Jan.

31, the company cautioned that its revenues will take a hit in coming quarters.

The publicly held maker of electronic bingo equipment noted that Oklahoma voted to permit casino-style gambling.

That will reduce demand for GameTech's bingo systems.

When coupled with the loss of an unidentified major customer in recent months, the company said it expects its revenues to fall by about $2 million a year.

For the quarter ended Jan.

31, the company posted a profit of $1,000 on revenues of $12.2 million.

This compares with a loss of $15,000 on revenues of $12.6 million in the comparable period a year earlier.

John Furman, GameTech's president and chief executive officer, said margins improved nearly 1 percent over year-earlier figures, but depreciation expenses rose as GameTech installed more of its terminals in the field.

He said the company hopes to boost revenues through the introduction of new products and the development of new strategic relationships.